Caledonia boosts its Tory investment

Thursday 29 May 2008 10:36 BST

Caledonia chairman Peter Buckley today said donations to the Conservative Party by the Cayzer family's quoted investment fund would rise from £60,000 to £75,000 "in case the next 12 months turns out to be an election year". In an attack on "Rooster Brown" and "Rooster Blair", he hailed Labour's setbacks while reporting a 4.6% fall in net asset value per share.

He said: "I have customarily made reference to the economic and political background and the impact it has on our business and for some years I have been strongly critical of the present Government.

"In the past year many of their chickens have come home to roost and what a shabby lot they look. Shorn of integrity and economic competence, Rooster Brown has even less feathers than Rooster Blair and lacks the latter's knack of preening himself.

"It is heartening that both the recent elections, exemplified by the change of the Mayor in London and the Crewe by-election, would suggest that the electorate is seeking change.

"Fuelled by the greed of the US investment banks, the principal culprits in the sub-prime crisis, many other banks had lowered their standards to an alarming degree which the Government, through its Brown-imposed three way regulatory framework of Treasury, Bank of England and Financial Services Authority, utterly failed to spot.

"Over the past period of relative plenty, Brown has consistently and stealthily raised taxes and public expenditure in a way which has failed to deliver proper value. He blusters about prudent economic management when Britain is now at the lower end of a number of European economic league tables.

"Blair and Brown both promised a referendum on the new constitutional reforms in Europe and then reneged. What is particularly distressing in all this, is a growing politicisation of the civil service and the lack of example being set by those at the top in both politics and banking, with self interest dominating the willingness to take responsibility, which is hardly the right ethic to instil in future generations. All of this impinges on the prospects for growth in our economy.

"Last year some of these factors led us to ask our shareholders for the authority to make contributions of up to £60,000 to the Conservative Party so that it can be equipped better to form an alternative government. I am pleased to report that we had a ringing endorsement in favour of this from the overwhelming majority of our shareholders.

"The year just past has strengthened our belief in this initiative although the Conservatives will have to be careful and consistent with their policy pronouncements. We shall ask our shareholders for permission to donate again to the Conservative Party with an increase in the contribution to £75,000 in case the next twelve months turns out to be an election year. The focus of giving will remain on building resource in the marginal seats where the past year's contributions were also targeted."